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Covidien Announces Filing of Form 10 Registration Statement in Connection with Planned Spin-Off of Pharmaceuticals Business

[February 01, 2013]

Covidien Announces Filing of Form 10 Registration Statement in Connection with Planned Spin-Off of Pharmaceuticals Business

DUBLIN --(Business Wire)--

Covidien
plc (NYSE: COV) today announced the initial filing by Mallinckrodt plc
of a Form 10 Registration Statement with the U.S. Securities and
Exchange Commission (SEC (News - Alert)) in connection with Covidien's previously
announced plan to spin off its Pharmaceuticals business.

"The filing of the Form 10 Registration Statement is an important
milestone in our ongoing separation process," said José E. Almeida,
Chairman, President and CEO. "As two distinct businesses, Covidien and
Mallinckrodt will be better positioned to capitalize on significant
growth opportunities and provide greater focus on their respective
businesses and strategic priorities. We remain on track to complete the
spin-off by mid-2013."

As previously announced, Covidien intends to spin off its
Pharmaceuticals business through a distribution of Mallinckrodt shares
which is expected to be tax-free to U.S. shareholders, except for cash
received in lieu of fractional shares.

Completion of the transaction is subject to a number of conditions,
including effectiveness of the registration statement filed with the
SEC, receipt of a favorable ruling from the Internal Revenue Service and
an opinion from tax counsel and other customary conditions. The
transaction also remains subject to final approval of the Covidien Board
of Directors. Assuming all conditions are met, the separation is
expected to occur at the end of the second calendar quarter of 2013.

The Form 10 Registration Statement contains important information about
Mallinckrodt and the separation, including an overview of the businesses
in which Mallinckrodt will operate and of the company's competitive
strengths, strategies and risk factors.

Covidien is a leading global healthcare products company that creates
innovative medical solutions for better patient outcomes and delivers
value through clinical leadership and excellence. Covidien manufactures,
distributes and services a diverse range of industry-leading product
lines in three segments: Medical Devices, Pharmaceuticals and Medical
Supplies. With 2012 revenue of $11.9 billion, Covidien has 43,000
employees worldwide in 70 countries, and its products are sold in over
140 countries. Please visit www.covidien.com
to learn more about our business.

FORWARD-LOOKING STATEMENTS

Any statements contained in this communication that do not describe
historical facts may constitute forward-looking statements as that term
is defined in the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements include, but are not limited to, statements
about the separation of the Pharmaceuticals business from the Company,
the terms and the effect of the transaction (including as to tax
consequences) and the conditions to completion of the transaction.Any
forward-looking statements contained herein are based on our
management's current beliefs and expectations, but are subject to a
number of risks, uncertainties and changes in circumstances, which may
cause actual results or Company actions to differ materially from what
is expressed or implied by these statements. The factors that could
cause actual future results to differ materially from current
expectations include, but are not limited to, our ability to effectively
introduce and market new products or keep pace with advances in
technology, the reimbursement practices of a small number of large
public and private insurers, cost-containment efforts of customers,
purchasing groups, third-party payors and governmental organizations,
intellectual property rights disputes, complex and costly regulation,
including healthcare fraud and abuse regulations and the Foreign Corrupt
Practices Act, manufacturing or supply chain problems or disruptions,
rising commodity costs, recalls or safety alerts and negative publicity
relating to Covidien or its products, product liability losses and other
litigation liability, divestitures of some of our businesses or product
lines, our ability to execute strategic acquisitions of, investments in
or alliances with other companies and businesses, competition, risks
associated with doing business outside of the United States, foreign
currency exchange rates, environmental remediation costs and
unanticipated developments that may prevent, delay, alter the terms of
or otherwise negatively affect the planned spin-off. These and other
factors are identified and described in more detail in our Annual Report
on Form 10-K for the fiscal year ended September 28, 2012, and in
subsequent filings with the SEC, as well as the "Risk Factors" section
of the Form 10 Registration Statement.Further, there can be no
assurance as to the timing of the contemplated spin-off, or whether it
will be completed. We disclaim any obligation to update these
forward-looking statements other than as required by law.